HAMILTON — A Hamilton steel producer says federal protections for the industry have helped prop up earnings and isolate it from price declines in the U.S.

Stelco Holdings Inc. chairman Alan Kestenbaum told analysts on a conference call that measures the federal government put in place to protect against cheap steel imports have been very effective.

The company announced a $100 million special dividend on what it said were strong fourth quarter earnings, which helped send its share price up seven per cent in mid-day trading on the Toronto Stock Exchange.

Stelco has pivoted to producing more steel for the Canadian market in response to tariffs on exports to the U.S., making it more dependent on pricing in Canada.

The federal government imposed restrictions on some metal imports last year over fears that foreign producers would ship excess material to Canada after the U.S. imposed tariffs.

Canada’s construction industry has criticized the protection measures for raising prices and has pushed for exemptions for some metal products.